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Shiba Inu has continued to hold above a key long-term support level, sparking optimism of a resurgence targeting higher prices.
Despite recent correctional price actions, Shiba Inu (SHIB) has shown resilience around critical price levels. The second-largest meme coin by market cap has dropped by double digits over the past 30 days while also losing nearly 60% of its value at the start of the year.
Key Shiba Inu Support Holds
Yet, it has held above a long-term support area, a TradingView analysis from “The Alchemist Trader” highlighted. The market commentator emphasized that SHIB is holding above a yearly price low of $0.00000734.
Shiba Inu dropped to $0.00000678 on Binance during the October 10 market crash but quickly recovered to close much higher. Since then, the token has failed to break below the $0.00000734 demand zone, recording several candle closes above the level despite obvious price weakness.
The analyst highlighted that this emphasizes the area’s strength while also suggesting price stabilization. According to him, these are prerequisites for a recovery push for the prominent meme coin.
Further bolstering optimism is the recent surge in network activity. For instance, The Crypto Basic reported an 859% surge in Shiba Inu burn rate a few days back, as the ploy to create scarcity of the SHIB token intensifies. The market watcher considers this bullish for the token, asserting it could support a reversal.
What to Expect from SHIB
Meanwhile, the Alchemist Trader predicted that if the $0.00000734 yearly low continues to hold, SHIB could plot a recovery to higher prices. An accompanying chart shows a possible rebound towards the first target of $0.00001591. From the current market price of $0.00000858, this represents an 85% price increase.
Notably, the region aligns closely with the July high, an area SHIB has faced severe opposition in the past. The token failed to sustainably trend above the area during May’s lower high, reestablishing the strong sell pressure there.
Remarkably, analyst Crypto Feras also shares a similar target. He predicted in a parallel commentary that SHIB is ready for a breakout towards $0.000001546.
If SHIB manages to defy this area, it will now target a 178% increase from the current market price to $0.0000239. Notably, Shiba Inu last changed hands at such a high in January, when it peaked at $0.0000249.